AMP lifts financial advice standards

AMP is lifting standards for its army of financial planners after scandals over dodgy investment advice at the Commonwealth Bank and Macquarie Group.

Like the Commonwealth, AMP is setting up an independent review panel to handle customer complaints about financial advice.

AMP will also insist its advisors hold specific industry qualifications, and set up an ethics program.

AMP has Australia's largest network of financial advisors, with 3,800 financial planners across the country.

Group executive advice and banking Rob Caprioli said the measures would help restore confidence and trust in financial advisors.

"Customers expect us to provide them with quality financial advice that puts their interests first," he said in a statement on Thursday.

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"So we take this very seriously and will continue to look closely at what we do to ensure we continue to provide the best advice possible."

The move comes just weeks after the Commonwealth Bank launched a review of its wealth management division following the release of a damning Senate report.

The division was embroiled in a scandal over fraud and misconduct by some advisors.

and on Friday, Macquarie, the so-called "millionaires factory" investment bank, was ordered by the Australian Securities and Investments Commission (ASIC) to invite 160,000 past and present clients to seek compensation. That scandal involves misconduct and flawed financial advice given by its planners to clients causing heavy losses dating back to 2004 - when the bank first obtained a financial services licence.